'Susahnya Cari Lokasi Strategis dengan Modal Terbatas, Bagaimana Solusinya? | Foodcast

Summary

In this video, Hendra Novianto from Fudist Academy provides valuable tips for selecting a strategic business location on a limited budget. He emphasizes the importance of finding the right location, not necessarily the most central one, by balancing rental costs with sales potential. He offers solutions like sharing spaces with other businesses, choosing locations with similar competitors, and considering second-tier areas. Additionally, he advises conducting thorough market research to ensure the location aligns with the target audience's spending power. The video encourages businesses to be resourceful and analyze options to find the best fit for their needs.

Takeaways

• 😀 It's important to find the right location for your business, not just a strategic one.
• 😀 The cost of rent should match your sales target, ideally between 5% to 12% of your sales target.
• 😀 If the location has higher sales potential, you may be able to afford higher rent, but the sales should justify the rent.
• 😀 If you lack the budget for rent, consider sharing a location or community space like a food court or supermarket parking lot.
• 😀 Collaborating with other complementary businesses, such as different food brands or non-competing brands, can also reduce rental costs.
• 😀 It can be beneficial to choose a location near competitors that are similar to your business type, rather than unrelated competitors.
• 😀 Sometimes, a strategic location might not be right for your business if the target market's spending power or preferences don't align.
• 😀 Ensure that your target market in a strategic location matches your product offering, as mismatched prices can lead to low demand.
• 😀 If the competitors in a location are charging too high rents, it's important to research whether their sales are strong enough to justify the high rent.
• 😀 If you’re struggling with the rent, explore options like paying rent in installments or finding a second-tier location close to a strategic area with lower rent.

Q & A

What is the primary focus when selecting a location for a business?

The primary focus should be finding the 'right' location for the business, which is based on factors like target revenue, rental costs, and the market's spending power, rather than simply looking for a high-traffic area.

How should rental costs be calculated in relation to target revenue?

Rental costs should generally range from 5% to 12% of the target revenue. For example, if the target revenue is 100 million, the maximum rental cost should be around 10 million, ideally at 10% of the revenue.

What if the rent for a prime location exceeds the budget?

If the rent for a location exceeds the budget, one option is to share the space with other businesses, such as in a food court or a shared hub, which can reduce costs.

What should be considered when selecting a location with competitors nearby?

It's important to choose a location near competitors in the same industry to ensure there's enough market demand for your product, as competition can help drive foot traffic.

Why is it important to match the location's market with the business's target audience?

The location's market should align with the business's target audience in terms of spending power and preferences. For example, if your product is priced at 20,000 but the local market spends more on products priced at 50,000, the location may not be suitable.

How can business owners assess whether a location is suitable based on spending power?

Business owners should evaluate whether the local market has similar spending power to their target audience. This includes observing local purchasing habits and determining if the market can afford the products or services the business offers.

What is meant by 'sharing community' or 'sharing hub' in terms of location selection?

'Sharing community' or 'sharing hub' refers to sharing space with other businesses, like in food courts or shared parking areas, which allows for cost savings while still being in a strategic location.

How can location selection be impacted by the type of competitors present?

The presence of competitors in the same industry is important. Choosing a location near businesses that sell similar products can attract the right customer base and improve the chances of success.

What should business owners do if they are still unable to afford a location even after calculating the potential sales?

If a business owner cannot afford the rent despite high potential sales, they can look for flexible rental payment options, like paying monthly or finding ways to share rent with other businesses. Some platforms, like vendor culinary sites, offer payment solutions.

What is the strategy when the ideal location's rent is too high for the budget?

If the ideal location’s rent is too high, one strategy is to look for second-choice locations near key areas that may have lower rent but still provide access to a similar customer base. These secondary locations can serve as a cost-effective alternative.